Internal Revenue Service - IRS

AAA

DEFINITION of 'Internal Revenue Service - IRS'

A United States government agency that is responsible for the collection and enforcement of taxes. The IRS was established in 1862 by President Lincoln and operates under the authority of the United States Department of the Treasury. It is primarily engaged in the collection of individual income taxes and employment taxes, but also handles corporate, gift, excise and estate taxes.

The IRS is sometimes referred to as the "tax man."

INVESTOPEDIA EXPLAINS 'Internal Revenue Service - IRS'

The IRS is headquartered in Washington, D.C. It is an expansive organization that services the taxation of all Americans. In 2006, the IRS processed about 133 million personal income tax returns and almost six million corporate income tax returns, bringing in trillions of dollars of tax revenue.

RELATED TERMS
  1. Substitute Return

    A tax filing that the IRS will create for a taxpayer in order ...
  2. Internal Revenue Code - IRC

    The comprehensive set of tax laws created by the Internat Revenue ...
  3. Federal Unemployment Tax Act - ...

    The original legislation that allows the federal government to ...
  4. Revenue Act Of 1862

    This act increased taxes and implemented the first federal income ...
  5. Excise Tax

    1. An indirect tax charged on the sale of a particular good. ...
  6. Corporate Tax

    A levy placed on the profit of a firm, with different rates used ...
Related Articles
  1. What are some examples of debts that ...
    Credit & Loans

    What are some examples of debts that ...

  2. What credit card fees are tax deductible?
    Credit & Loans

    What credit card fees are tax deductible?

  3. How can I convert a 401(k) into a Roth ...
    Mutual Funds & ETFs

    How can I convert a 401(k) into a Roth ...

  4. Are Social Security benefits taxable?
    Retirement

    Are Social Security benefits taxable?

Hot Definitions
  1. Financing Entity

    The party in a financing arrangement that provides money, property, or another asset to an intermediate entity or financed ...
  2. Hyperinflation

    Extremely rapid or out of control inflation. There is no precise numerical definition to hyperinflation. Hyperinflation is ...
  3. Gross Rate Of Return

    The total rate of return on an investment before the deduction of any fees or expenses. The gross rate of return is quoted ...
  4. Debit Spread

    Two options with different market prices that an investor trades on the same underlying security. The higher priced option ...
  5. Leading Indicator

    A measurable economic factor that changes before the economy starts to follow a particular pattern or trend. Leading indicators ...
  6. Wage-Price Spiral

    A macroeconomic theory to explain the cause-and-effect relationship between rising wages and rising prices, or inflation. ...
Trading Center